Corporate DEI Index Sees 65% Drop in Participation From Fortune 500 Companies

Fortune 500 Participation in DEI Reporting Falls Sharply

According to the latest Corporate Equality Index, the number of Fortune 500 companies submitting public documentation of diversity, equity and inclusion practices dropped about 65% in 2026, falling from 377 companies in 2025 to just 131 this year, a significant reduction in transparency metrics. Many of the companies that withdrew hold federal contracts, suggesting increasing caution about public DEI disclosure amid rising scrutiny and shifting stakeholder expectations. :contentReference[oaicite:0]{index=0}

Implications for Workplace Inclusion and Business Strategy

The drop in formal reporting does not necessarily reflect a full retreat from inclusive policies, as participating firms that continue to report are maintaining or strengthening inclusive workplace standards. However, employers are reevaluating how they communicate commitments externally, and this shift raises questions about the balance between transparency, competitive pressures and evolving legal and political environments. :contentReference[oaicite:1]{index=1}

Human Rights Campaign Foundation research suggests that companies with clear, transparent DEI practices often see stronger retention, better talent engagement and competitive business outcomes, even as overall reporting declines. At the same time, employees at companies that have scaled back visible commitments report higher rates of bias and workplace challenges in recent surveys. :contentReference[oaicite:2]{index=2}

The broader corporate landscape shows varied approaches to diversity and inclusion, with some firms rebranding efforts or embedding equity goals more discreetly into governance structures, while others face external pressure to scale back or reframes commitments to align with stakeholder and regulatory expectations. :contentReference[oaicite:3]{index=3}